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Barrys brews €60m purchase of Batchelors

BARRY’S, the tea importer owned by Peter Barry, the former foreign affairs minister, has entered into exclusive talks to buy Batchelors, the Irish tinned-food business, in a deal worth between €50m and €60m. Batchelors was earlier this year placed on the market by Northern Foods, its troubled UK parent, which is selling off non-core assets.

It is understood Barry’s is currently carrying out final due diligence, with the deal expected to close before Christmas. The Cork-based company is being advised by IBI Corporate Finance. Bank of Ireland is thought to be providing some debt finance.

It is understood Barry’s wants the Batchelors management team, which is headed by Eugene Heary, to remain with the business after the deal is finalised. Batchelors is estimated to have annual revenues of about €75m and employs 280 staff in Dublin and Athy. The company, however, is believed to have experienced a period of under-investment